Housing Tax 2.0 is on the way. Landlords may lose the preferential tax rate if they fail to apply again for renewal.

The Hsinchu County Government Taxation Bureau reminds that in response to the implementation of the new housing tax 2.0 system, although rental housing can enjoy a preferential tax rate of 1.6% to 2.4%, as long as the lease expires, whether it is renewing the lease with the old tenant or signing a new tenant, you must re-apply to the tax bureau. (Photo by reporter Liao Xueru)

[Reporter Liao Xueru/Hsinchu Report] It is very common for renters to change or renew their contracts, but landlords and landlords should be careful! The Hsinchu County Government Taxation Bureau specially reminds that in response to the new housing tax 2.0 system, although rental housing can enjoy a preferential tax rate of 1.6% to 2.4%, this benefit is not "effective once the application is made". As long as the lease expires, whether you are renewing the contract with the old tenant or signing a new tenant, you must apply to the taxation bureau again, otherwise the discount may disappear instantly and the tax will be doubled!

The tax bureau explained that house tax is calculated on an annual basis. Taking the 116-year house tax of the Republic of China as an example, the tax calculation period is from July 1, 2015 to June 30, 2016. If the lease to which the preferential tax rate was originally applied expires before June 30, 2015, the discount can only be used for the 115-year term; if you do not reapply after renewal or renewal, or the rent does not meet the local general rent standards stipulated by the Ministry of Finance, the house will be levied at the "non-owner-occupied household tax rate of 2.6% to 4.8%, and the tax burden will increase significantly."

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To protect their own rights and interests, landlords must master the "Three Steps to Safeguard and Save Taxes." First of all, you must confirm the lease term at any time and understand that the discount will not be automatically extended; secondly, you must grasp the application time limit. Taking the 116-year term as an example, you must actively submit the latest lease contract and a copy of the owner’s ID card before March 22, 2016 (40 days before the start of the tax) to submit an application; finally, when filing a comprehensive income tax return in May each year, the rental income must be truthfully declared and meet the legal rent standards. If the public has any questions, they can call the Zhubei General Bureau of the Hsinchu County Taxation Bureau at: (03) 5518141 or the Zhudong Branch: (03) 5969663 for dedicated service.

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